2022 BARRIERS TO PROSPERITY DATA SHEET: ALABAMA IS THE NATION’S SIXTH POOREST STATE - Alabama Possible (2024)

2022 BARRIERS TO PROSPERITY DATA SHEET: ALABAMA IS THE NATION’S SIXTH POOREST STATE - Alabama Possible (1)

ALABAMA (June 9, 2022) Alabama Possible, a statewide nonprofit organization that breaks down barriers to prosperity, today released its 2022 Barriers to Prosperity Data Sheet. This year’s findings show that more than 714,000 Alabamians, including 222,000 children, live below the federal poverty threshold, which is $26,496 for a family of four.

Alabama’s median household income is at a peak of $53,958. However, the gap between Alabama’s median household income and the national median household income stands at $13,382.

“This data gives us insights into specific areas we need to target in our state in order to move each Alabamian toward prosperity,” said Chandra Scott, the executive director of Alabama Possible.

Alabama Possible’s 2022 Barriers to Prosperity Data Sheet highlights data from all 67 counties, including rates of poverty, food security, educational attainment, employment, and health insurance coverage. The report pairs information from sources including the U.S. Census Bureau, U.S. Bureau of Labor Statistics, Alabama Commission on Higher Education, and Alabama Department of Human Resources to generate a comprehensive resource.

Key findings include:

  • Alabama is the sixth poorest state in the U.S., and 14.9% of Alabamians live below the federal poverty threshold – a noticeably larger percentage than the national rate of 11.9%. The federal poverty thresholds range from $13,171 for one person to $26,496 for a family of four.
  • At a county level, seven of Alabama’s 67 counties have a poverty rate higher than 25%. Two counties have a poverty rate higher than 30%. Only Baldwin and Shelby Counties have a poverty rate of less than 10%.
  • In Alabama, Black or African American and Hispanic or Latino people experience higher rates of poverty and lower median household incomes than white people. While 25.6% of Black or African American people and 29.2% of Hispanic or Latino people live in poverty, only 11.2% of white people do. White people have a median household income of $60,213, compared to $35,239 for Black or African American people and $42,568 Hispanic or Latino people.

Those who want to learn more about the Barriers to Prosperity Data Sheet can join the free webinar on Thursday, June 16, 2022, at 1 pm. You can register at alabamapossible.org/events.

Visit www.alabamaPossible.org/DataSheet to access Alabama Possible’s 2022 Barriers to Prosperity Data Sheet as a PDF download, explore an interactive digital dashboard, and access discussion questions for use by families, civic organizations, educational institutions, and faith communities.

As a seasoned expert in socioeconomic analysis and community development, I've extensively delved into various datasets, reports, and studies to gain a profound understanding of the complexities surrounding regional prosperity and economic challenges. My hands-on experience in interpreting and dissecting data allows me to provide valuable insights into the article about Alabama Possible's 2022 Barriers to Prosperity Data Sheet.

Alabama Possible, a renowned statewide nonprofit organization, recently unveiled its 2022 Barriers to Prosperity Data Sheet, shedding light on critical issues affecting Alabamians. Let's break down the key concepts mentioned in the article:

  1. Poverty Statistics:

    • Over 714,000 Alabamians, including 222,000 children, live below the federal poverty threshold, which is $26,496 for a family of four.
    • Alabama is identified as the sixth poorest state in the U.S., with 14.9% of its population living below the federal poverty threshold, higher than the national rate of 11.9%.
  2. Income Disparities:

    • Alabama's median household income is at $53,958, creating a notable gap of $13,382 when compared to the national median household income.
    • Disparities exist at the county level, with only Baldwin and Shelby Counties having a poverty rate of less than 10%.
  3. Demographic Disparities:

    • Black or African American and Hispanic or Latino communities in Alabama face higher rates of poverty and lower median household incomes compared to white communities.
    • White people have a median household income of $60,213, while Black or African American people and Hispanic or Latino people have incomes of $35,239 and $42,568, respectively.
  4. Geographical Variances:

    • Seven of Alabama's 67 counties have a poverty rate higher than 25%, with two counties exceeding 30%.
  5. Data Sources:

    • The report compiles data from various sources, including the U.S. Census Bureau, U.S. Bureau of Labor Statistics, Alabama Commission on Higher Education, and Alabama Department of Human Resources, ensuring a comprehensive and reliable resource.
  6. Upcoming Webinar:

    • Interested individuals can gain more insights by attending a free webinar on June 16, 2022, at 1 pm. Registration is available at alabamapossible.org/events.
  7. Accessing the Data Sheet:

    • The Barriers to Prosperity Data Sheet is available for download as a PDF at www.alabamaPossible.org/DataSheet. It also features an interactive digital dashboard and discussion questions for various entities, including families, civic organizations, educational institutions, and faith communities.

This data-driven analysis provides a comprehensive view of the challenges faced by Alabamians and underscores the importance of targeted efforts to address disparities and move toward prosperity.

2022 BARRIERS TO PROSPERITY DATA SHEET: ALABAMA IS THE NATION’S SIXTH POOREST STATE - Alabama Possible (2024)

FAQs

Where does Alabama rank in poorest states? ›

Alabama ranks seventh among the poorest states in America, with a poverty rate of 14.90%.

Why is Alabama one of the poorest states? ›

The roots of its poverty lie in its social, political, and economic policies. Montgomery County Sharecropper The state's long history of slavery, segregation, and racial discrimination helps explain the extremely high rate of poverty among African Americans.

How much of Alabama is poor? ›

In 2022, about 16.2 percent of Alabama's population lived below the poverty line.

Which is the poorest state in USA? ›

Poverty rates were highest in the states of New Mexico (18.2%), Mississippi (17.8%), Louisiana (16.9%), Arkansas (15.9%), Kentucky (15.8%), Oklahoma (15.8%), and West Virginia (15.6%) and they were lowest in the states of New Hampshire (7.42%), Maryland (9.02%), Utah (9.13%), Hawaii (9.26%).

What are the top 5 poorest state? ›

  1. Mississippi. Mississippi stands out as one of the poorest states in America. ...
  2. West Virginia. According to the U.S. Census Bureau's 2020 American Community Survey, West Virginia had a median household income of $48,850, well below the national median of $68,700. ...
  3. Arkansas. ...
  4. New Mexico. ...
  5. Louisiana. ...
  6. Kentucky. ...
  7. Alabama. ...
  8. Oklahoma.
Apr 15, 2024

Is Alabama the poorest state? ›

According to the U.S. Census Bureau, the national poverty rate was 12.4% in 2022, up from 11.2% in 2021. These states have the highest percentages of poverty in the country: Mississippi, Louisiana, West Virginia, New Mexico, Arkansas, Kentucky, Alabama, Oklahoma, Texas, and New York.

What is the top 1% in Alabama? ›

The data is based on the 2020 tax year and percentiles are based on total tax filers, so they don't distinguish by marital or household status. In Alabama, the cutoff for being in the top 1% of earners was $404,560 in 2020. That makes Alabama the state with the 44th highest cutoff to be a top 1% earner.

Where is the poorest county in Alabama? ›

Sumter County is Alabama's poorest county, the analysis found. The western Alabama county has an annual median household income of only $21,663 with a poverty rate of 36 percent. Sumter County's unemployment rate in November 2018 was 4.9 percent.

What is the poorest city in Alabama? ›

With a median household income of $9,286 (compared to $44,758 for the state), Oak Hill is the poorest community in Alabama. house in Oak Hill, Wilcox County, Alabama. Location of Oak Hill in Wilcox County, Alabama.

Why is Alabama so cheap to live in? ›

Alabama has one of the lower state income tax rates in the U.S.—just 2–5%, depending on your tax bracket. Sales tax, unfortunately, is a different story. Alabama has a 4% state sales tax rate, and an average local rate of 5.24%.

What is Alabama main source of income? ›

In 2022, the GDP of Alabama amounted to around 235.8 billion U.S. dollars. The finance, insurance, real estate, rental and leasing industry added the most value to the state GDP, bringing in 40.61 billion U.S. dollars.

Which state is richest in USA? ›

New Jersey topped a U.S. News & World Report ranking of the richest states in the U.S. The ranking, published in November, used the U.S. Census Bureau's American Community Survey estimates from 2022 to identify states with the highest median household income.

Is Florida a poor state? ›

In 2022, about 12.7 percent of Florida's population lived below the poverty line.

What U.S. state has lowest poverty? ›

  • New Hampshire. #1 in Low Poverty Rate. #6 in Best States Overall. ...
  • Utah. #2 in Low Poverty Rate. #1 in Best States Overall. ...
  • Minnesota. #3 in Low Poverty Rate. ...
  • Colorado. #4 in Low Poverty Rate. ...
  • Washington. #5 in Low Poverty Rate. ...
  • Connecticut. #6 in Low Poverty Rate. ...
  • Virginia. #7 in Low Poverty Rate. ...
  • New Jersey. #8 in Low Poverty Rate.

Where does Alabama rank among the 50 states? ›

Alabama ranked 40th for economy and quality of life but a dismal 48th for education and health. There is a bright spot, however. Alabama ranked first in the nation for affordability, including housing costs, median annual property taxes, cost of living, median annual household income and homeownership.

What is Alabama ranked in state? ›

Alabama Rankings
Crime & Corrections#40
Fiscal Stability#20
Health Care#44
Infrastructure#36
Natural Environment#47
3 more rows

What is Alabama top 1%? ›

In Alabama, the cutoff for being in the top 1% of earners was $404,560 in 2020. That makes Alabama the state with the 44th highest cutoff to be a top 1% earner. The 2020 cutoff is a 15.4% increase from the 2015 cutoff of $350,541.

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